Minority Business Loans: Business Loan Alternative

Stockton, CA recently raised eyebrows when it announced that it would again consider the race of the owner of small businesses as a factor when the city awards federally funded transportation contracts. The city has established minority participation goals that will encourage minority businesses owned by African Americans, Native Americans, Asian Americans and women to apply for transportation contracts issued by the city.

The study determined that minority businesses were not getting an appropriate share of transportation contracts through the CalTrans bidding process, and has adopted new award guidelines that consider race as a factor, following a 2006 ruling by the US 9th Circuit Court of Appeals. Often, the primary contractor on a project will subcontract work to minority firms, but one major problem continues to be access to minority business loans for such firms.

Rapid Capital Funding provides minority businesses with fast access to cash through a business loan alternative known as a merchant cash advance.

A merchant cash advance enables minority businesses to sell a portion of their future credit card transactions in exchange for cash up front. As a business loan alternative, a merchant cash advance doesn’t require good credit, minimum monthly payments, a long approval process, collateral or personal guarantees.

It’s the ideal funding mechanism for businesses that have been turned down for minority business loans. You may be able to get the cash you need for your business from Rapid Capital Funding.

Photo Credit: Ian Broyles, via Flickr

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